Contractor says he gave $3,000 to Reksid as a loan, not a bribe

The owner of a hazardous material company that obtained the unexploded ordnance cleanup contract with the Department of Public Lands testified yesterday in the ongoing jury trial of former DPL special assistant to the secretary Franz B. Reksid.

The closing arguments and jury deliberations are expected to begin today, Thursday, after the prosecution and the defense rested their cases yesterday.

Attorney Mark Hanson, counsel for Reksid, called to the stand two witnesses: John Scott, president of All-Hazard Management Professionals Inc. (AMPRO Inc.) and Jim Callier, special assistant to the Division of Environmental Quality director.

Scott testified that in February 2009 he gave $3,000 to Reksid, but that it was a personal loan and had nothing to do with AMPRO’s cleanup contract.

“I saw it as a short term loan. Kind of personal help,” said Scott, referring to the money after Reksid sought assistance after his brother passed away. “I saw no relationship of the loan with the project.”

Scott said he did not get expedited payments from the project as a result of providing the loan to Reksid.

During cross-examination by assistant U.S. attorney Eric O’Malley, Scott admitted that he was not repaid for the loan.

Scott said that when he met with Reksid after a week, he expected to get paid but, instead, Reksid asked to borrow more money from him.

Scott said that when Reksid explained to him that he needs to send the money to Nigeria, he saw it was a scam so he refused to loan him more money.

“I explained to him it’s a scam,” the businessman said.

Scott, however, agreed with O’Malley that he didn’t know what Reksid was doing “behind the scenes” in relation to the project.

According to court documents, Reksid borrowed over $300,000 from friends, associates, and relatives and wired part of the money to Ivory Coast and Nigeria.

The 70-year-old Reksid is on trial on one count of bribery concerning a program receiving federal funds.

The indictment alleged that Reksid solicited $3,000 bribe from an owner of a business company seeking to obtain the unexploded ordnance cleanup contract with DPL.

EPA Brownsfield grants funded the contract.

U.S. District Court for the NMI visiting judge Michael A. Ponsor excused the jurors yesterday shortly before noon and asked them to return today, Thursday, at 9am for the closing arguments.